War for Natural Resources

War for Natural Resources

MIXING OIL AND WATER

Here is an important examination of one of the false claims being made by the Bush administration in favor of killing. Our thanks to the Agribusiness Examiner for distributing the remarks, which originally appeared in the New York Times.

by Stephen C. Pelletiere

It was no surprise that President Bush, lacking smoking-gun evidence of Iraq’s weapons programs, used his State of the Union address to re-emphasize the moral case for an invasion: “The dictator who is assembling the world’s most dangerous weapons has already used them on whole villages, leaving thousands of his own citizens dead, blind or disfigured.”

The accusation that Iraq has used chemical weapons against its citizens is a familiar part of the debate. The piece of hard evidence most frequently brought up concerns the gassing of Iraqi Kurds at the town of Halabja in March 1988, near the end of the eight-year Iran-Iraq war. President Bush himself has cited Iraq’s “gassing its own people,” specifically at Halabja, as a reason to topple Saddam Hussein.

But the truth is, all we know for certain is that Kurds were bombarded with poison gas that day at Halabja. We cannot say with any certainty that Iraqi chemical weapons killed the Kurds. This is not the only distortion in the Halabja story.

I am in a position to know because, as the Central Intelligence Agency’s senior political analyst on Iraq during the Iran-Iraq war, and as a professor at the Army War College from 1988 to 2000, I was privy to much of the classified material that flowed through Washington having to do with the Persian Gulf. In addition, I headed a 1991 Army investigation into how the Iraqis would fight a war against the United States; the classified version of the report went into great detail on the Halabja affair.

This much about the gassing at Halabja we undoubtedly know: it came about in the course of a battle between Iraqis and Iranians. Iraq used chemical weapons to try to kill Iranians who had seized the town, which is in northern Iraq not far from the Iranian border. The Kurdish civilians who died had the misfortune to be caught up in that exchange. But they were not Iraq’s main target.

And the story gets murkier: immediately after the battle the United States Defense Intelligence Agency investigated and produced a classified report, which it circulated within the intelligence community on a need-to-know basis. That study asserted that it was Iranian gas that killed the Kurds, not Iraqi gas.

The agency did find that each side used gas against the other in the battle around Halabja. The condition of the dead Kurds’ bodies, however, indicated they had been killed with a blood agent — that is, a cyanide-based gas — which Iran was known to use. The Iraqis, who are thought to have used mustard gas in the battle, are not known to have possessed blood agents at the time.

These facts have long been in the public domain but, extraordinarily, as often as the Halabja affair is cited, they are rarely mentioned. A much-discussed article in The New Yorker last March did not make reference to the Defense Intelligence Agency report or consider that Iranian gas might have killed the Kurds. On the rare occasions the report is brought up, there is usually speculation, with no proof, that it was skewed out of American political favoritism toward Iraq in its war against Iran.

I am not trying to rehabilitate the character of Saddam Hussein. He has much to answer for in the area of human rights abuses. But accusing him of gassing his own people at Halabja as an act of genocide is not correct, because as far as the information we have goes, all of the cases where gas was used involved battles. These were tragedies of war. There may be justifications for invading Iraq, but Halabja is not one of them.

In fact, those who really feel that the disaster at Halabja has bearing on today might want to consider a different question: Why was Iran so keen on taking the town? A closer look may shed light on America’s impetus to invade Iraq.

We are constantly reminded that Iraq has perhaps the world’s largest reserves of oil. But in a regional and perhaps even geopolitical sense, it may be more important that Iraq has the most extensive river system in the Middle East. In addition to the Tigris and Euphrates, there are the Greater Zab and Lesser Zab rivers in the north of the country. Iraq was covered with irrigation works by the sixth century A.D., and was a granary for the region.

Before the Persian Gulf war, Iraq had built an impressive system of dams and river control projects, the largest being the Darbandikhan dam in the Kurdish area. And it was this dam the Iranians were aiming to take control of when they seized Halabja. In the 1990′s there was much discussion over the construction of a so-called Peace Pipeline that would bring the waters of the Tigris and Euphrates south to the parched Gulf states and, by extension, Israel. No progress has been made on this, largely because of Iraqi intransigence. With Iraq in American hands, of course, all that could change.

Thus America could alter the destiny of the Middle East in a way that probably could not be challenged for decades — not solely by controlling Iraq’s oil, but by controlling its water. Even if America didn’t occupy the country, once Mr. Hussein’s Baath Party is driven from power, many lucrative opportunities would open up for American companies.

All that is needed to get us into war is one clear reason for acting, one that would be generally persuasive. But efforts to link the Iraqis directly to Osama bin Laden have proved inconclusive. Assertions that Iraq threatens its neighbors have also failed to create much resolve; in its present debilitated condition — thanks to United Nations sanctions — Iraq’s conventional forces threaten no one.

Perhaps the strongest argument left for taking us to war quickly is that Saddam Hussein has committed human rights atrocities against his people. And the most dramatic case are the accusations about Halabja.

Before we go to war over Halabja, the administration owes the American people the full facts. And if it has other examples of Saddam Hussein gassing Kurds, it must show that they were not pro-Iranian Kurdish guerrillas who died fighting alongside Iranian Revolutionary Guards. Until Washington gives us proof of Saddam Hussein’s supposed atrocities, why are we picking on Iraq on human rights grounds, particularly when there are so many other repressive regimes Washington supports?

Stephen C. Pelletiere is author of Iraq and the International Oil System: Why America Went to War in the Persian Gulf

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12 Responses to War for Natural Resources

what do I think? The administration lies and lies whenever it suits their purposes.

I made a videotape of Dr. Pelletiere’s speech at a Carlisle Peace College forum last October. This vido – No War On Iraq!” contains his complete 45 minute talk plus three more hours of interesting talks that day. Available from Earth Rights Institute, Box 328, Scotland, PA 17254 for $15, includes shipping and handling.

It is evidently clear that the Bush Administration and the U.S. allies in this Iraqi showdown is clearly more than the atrocities of Saddam’s regime. With the publication of Pelletiere’s information it is definitely to the western powers advantage to control the water rights and the oil rights to develop another country into the international scheme of things.

The ignorance of American people not willing to think and research prior to giving their support to a president to send our children to war. If we continue to give blind support to this administration we may as well take the guns and kill the iraquie people ourselves. The blood is on everyones hands that support this war without requiring complete support for the invasion. And I am a proud american with a son right now in the gulf.

Thank you for bringing this article to my attention. It is my opinion that Iran is the most dangerous country in the middle east for many reasons. I have known for a long time that Iraq has no connections to bin laden. Saddam is a secularist of the Ba’thist communist party. Iran is where bin laden’s group got the idea of marytrdom an idea repugnate to sunnis before recently, and is still repugnant to the huge majority. Martyrdom was always from its beginning the central theme of Shi’i Islam. I have very much more to say but that can wait for later. Good bye friends

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Arts & Letters

Geonomics is …

a way to connect the dots. Making the cyber rounds is “The Cavernous Divide” by Scott Klinger, from AlterNet (posted March 21): “As the number of billionaires in the world expands, so does the number of those in poverty.” Duh. The yawning income gap is not news. Nearly every issue of our quarterly digest carries a similar quote. Yet the connection was worked out long ago by one of America’s greatest thinkers, Henry George, who labeled his masterpiece, Progress and Poverty. Techno- and socio-advances always enrich few and impoverish many. Yet progress also pushes up location values – the geonomic insight (is Silicon Valley cheaper now or more expensive?). Instead of taxing income, sales, or buildings, society could collect those values of sites, resources, EM spectrum, and ecosystem services via fees and dues, which would lower the income ceiling, and instead of lavishing corporate welfare, pay out the recovered revenue via dividends, which would jack up the income floor. Dots connected.

an economic policy based on the earth’s natural patterns. Eco-systems self-regulate by using feedback loops to keep balance. Can economies do likewise? Why don’t they now produce efficiently and distribute fairly? The answers lie in the money we spend on the earth we use. To attain people/planet harmony, that financial flow from sites and resources must visit each of us. Our agent, government, must collect this natural rent via fees and disburse the collected revenue via dividends. And, it must forgo taxes on homes and earnings, and quit subsidies of either the needy or the greedy. As our steward, government must also collect Ecology Security Deposits, require Restoration Insurance, and auction off the occasional Emissions Permit. And that’s about it – were nature our model.

the study of the money we spend on the nature we use. When we pay that money to private owners, we reward both speculation and over-extraction. Robert Kiyosaki’s bestseller, Rich Dad’s Prophecy, says, “One of the reasons McDonald’s is such a rich company is not because it sells a lot of burgers but because it owns the land at some of the best intersections in the world. The main reason Kim and I invest in such properties is to own the land at the corner of the intersection. (p 200) My real estate advisor states that the rich either made their money in real estate or hold their money in real estate.” (p 141, via Greg Young) When government recovers the rents for natural advantages for everyone, it can save citizens millions. Ben Sevack, Montreal steel manufacturer, tells us (August 12) that Alberta, by leasing oil & gas fields, recovers enough revenue to be the only province in Canada to get by without a sales tax and to levy a flat provincial income tax. While running for re-election, provincial Premier Ralph Klein proposes to abolish their income tax and promises to eliminate medical insurance premiums and use resource revenue to pay for all medical expense for seniors. After all this planned tax-cutting and greater expense, they still expect a large budget surplus. Even places without oil and gas have high site values in their downtowns, and high values in their utility franchises. Recover the values of locations and privileges, displace the harmful taxes on sales, salaries, and structures, then use the revenue to fund basic government and pay residents a dividend, and you have geonomics in action.

what you do when you see economies as part of the ecosystem, following feedback loops and storing up energy. Surplus energy – fat or profit – enables us to produce and reproduce. To recycle society’s surplus, the commonwealth, geonomics would replace taxes with land dues (charged to users of sites and resources, including the EM spectrum, and extra to polluters), and replace subsidies with rent dividends to citizens (a la Alaska’s oil dividend). Without taxes and subsidies to distort them, prices become precise, reflect accurately our costs and values; then, motivated by no more than the bottom line, both producers and consumers make sustainable choices. While no place uses geonomics in its entirety, some places use parts of it, most notably a shift of the property tax off buildings, onto locations. Shifting the property tax drives efficient use of land, in-fills cities, improves the housing stock, makes homes affordable, engenders jobs and investment opportunities, lowers crime, raises civic participation, etc – overall it makes cities more livable. Geonomics – a way to share the bounty of nature and society – is something we can work for locally, globally, and in between.

an answer to a rarely asked question. If price is a reward for production, why do we pay for land, never produced by any of us? What is land price a reward for? Good behavior? How much money do we spend on the nature we use? Who gets it? What do they do with it? (If you answer all these correctly, you’re not a genius but a geoist.) The worth of Earth is enough that were we to collect and share it, we could abolish taxes on the goods we do produce. For example, San Francisco’s Redefining Progress has calculated that Cali-fornia could abolish all state and local taxes were it to collect the values of resources and of using na-ture as a dump. By exorcising the profit motive from depletion and pollution, rent collection could replace bossy regulation. Economies could self-regulate, as the rest of the eco-system does. See how big problems yield to big answers when we ask the right questions?

the study of the money we spend on the nature we use. When we pay that money to private owners, we reward both speculation and over-extraction. Robert Kiyosaki’s bestseller, Rich Dad’s Prophecy, says, “One of the reasons McDonald’s is such a rich company is not because it sells a lot of burgers but because it owns the land at some of the best intersections in the world. The main reason Kim and I invest in such properties is to own the land at the corner of the intersection. (p 200) My real estate advisor states that the rich either made their money in real estate or hold their money in real estate.” (p 141, via Greg Young) When government recovers the rents for natural advantages for everyone, it can save citizens millions. Ben Sevack, Montreal steel manufacturer, tells us (August 12) that Alberta, by leasing oil & gas fields, recovers enough revenue to be the only province in Canada to get by without a sales tax and to levy a flat provincial income tax. While running for re-election, provincial Premier Ralph Klein proposes to abolish their income tax and promises to eliminate medical insurance premiums and use resource revenue to pay for all medical expense for seniors. After all this planned tax-cutting and greater expense, they still expect a large budget surplus. Even places without oil and gas have high site values in their downtowns, and high values in their utility franchises. Recover the values of locations and privileges, displace the harmful taxes on sales, salaries, and structures, then use the revenue to fund basic government and pay residents a dividend, and you have geonomics in action.

a POV that Spain’s president might try. A few blocks from my room in Madrid at a book fair to promote literacy, Sr Zapatero, while giving autographs and high fives to kids, said books are very expensive and he’d see about getting the value added tax on them cut down to zero. (El Pais, June 4; see, politicians can grasp geo-logic.) But why do we raise the cost of any useful product? Why not tax useless products? Even more basic: is being better than a costly tax good enough? Our favorite replacement for any tax is no tax: instead, run government like a business and charge full market value for the permits it issues, such as everything from corporate charters to emission allowances to resource leases. These pieces of paper are immensely valuable, yet now our steward, the state, gives them away for nearly free, absolutely free in some cases. Government is sitting on its own assets and needs merely to cash in by doing what any rational entity in the economy does – negotiate the best deal. Then with this profit, rather than fund more waste, pay the stakeholders, we citizenry, a dividend. Thereby geonomics gets rid of two huge problems. It replaces taxes with full-value fees and replaces subsidies for special interests with a Citizens Dividend for people in general. Neither left nor right, this reform is what both nature lovers and liberty lovers need to promote, right now.

a way to redirect all the money we spend on the nature we use – trillions of dollars annually. We can’t pay the Creator of sites and resources and are mistaken to pay their owners this biggest stream in our economy. Instead, as owners we should pay our neighbors for respecting our claims to land. Owners could pay in land dues to the public treasury, a la Sydney Australia’s land tax, and residents could get back a “rent” dividend, a la Alaska’s oil dividend. We’d pay for owning sites, resources, EM spectrum, or emitting pollutants into the ecosphere, then get a fair share of the recovered revenue. The economy would finally have a thermostat, the dividend. When it’s small, people would work more; when it’s big, they’d work less. Sharing Earth’s worth, we could jettison counterproductive taxes and addictive subsidies. Prices would become precise; things like sprawl, sprayed food, gasoline engines, coal-burning plants would no longer seem cheap; things like compact towns, organic foods, fuel cells, and solar powers would become affordable. Getting shares, people could spend their expanded leisure socializing, making art, enjoying nature, or just chilling. Economies let us produce wealth efficiently; geonomics lets us share it fairly.

about the money we spend on the nature we use. It flows torrentially yet invisibly, often submerged in the price of housing, food, fuel, and everything else. Flowing from the many to the few, natural rent distorts prices and rewards unjust and unsustainable choices. Redirected via dues and dividends to flow from each to all, “rent” payments would level the playing field and empower neighbors to shrink their workweek and expand their horizons. Modeled on nature’s feedback loops, earlier proposals to redirect rent found favor with Paine, Tolstoy, and Einstein. Wherever tried, to the degree tried, redirecting rent worked. One of today’s versions, the green tax shift, spreads out of Europe. Another, the Property Tax Shift, activists can win at the local level, building a world that works right for everyone.

an answer for Jonathan of the Green Party (Nov 7): “What does ‘share our surplus’ mean?”Our surplus is the values that society generates synergistically. It’s the money we spend on the nature we use: on land sites, natural resources, EM spectrum, ecosystem services (assimilating pollutants). It’s also the money we pay to holders of government-granted privileges like corporate charters. We could share it by paying for the nature we use and privileges we hold to the public treasury then getting back a fair share of the recovered revenue. Used to be, owners did owe rent (“own” and “owe” used to be one word). And presently, some lucky residents do get back periodic dividends: Alaska’s oil dividend and Aspen Colorado’s housing assistance. Doing that, instead of subsidizing bads while taxing goods, is the essence of geonomics.
Jonathan: “Is local currency what you mean?”
Editor: It’s not. Community currency is a good reform, but every good reform pushes up site values. That makes land an even more tempting object of speculation. Now, any good will eventually do bad by widening the income gap – until you share land values.